Dáil Éireann - Volume 638 - 26 September, 2007
Written Answers. - EU Directives.
Deputy Richard Bruton Deputy Richard Bruton
Deputy Richard Bruton asked the Minister for Justice, Equality and Law Reform if there are new procedures being introduced which will apply to the establishment of trusts under wills, in order to comply with the Third Directive on Money Laundering; the new procedures required; his assessment of the compliance cost on the part of the person seeking to establish trusts for minor children, relatives with a disability and so on and intestate estates; and if he will publish a detailed regulatory evaluation statement as is envisaged by the Government’s proposals for better regulation. [20460/07]
Deputy Brian Lenihan Deputy Brian Lenihan
Deputy Brian Lenihan:I expect to submit to Government shortly a General Scheme of a Bill, the purpose of which is to give effect in Irish Law to Directive 2005/60/EC (‘The Third Money Laundering Directive’) on the prevention of the use of the financial system for the purpose of money laundering and terrorist financing. The proposed scheme will also take into account certain recommendations arising from the Financial Action Task Force (FATF) third mutual evaluation report (2006) on Ireland’s measures to combat money laundering and the financing of terrorism. The proposals will update current legislation in this area and strengthen Ireland’s existing anti-money laundering and anti-terrorist financing legal framework set out in the Criminal Justice Act 1994 as amended by the Criminal Justice (Theft and Fraud Offences) Act 2001 and the Criminal Justice (Terrorist Offences) Act 2005.
The provisions of the Directive apply inter alia to notaries and other independent legal professionals when acting on behalf of their clients in the planning or execution of transactions concerning the creation and management of trusts, including the establishment of trusts under wills. The proposals which I will submit to Government will include measures to be applied in relation to issues such as customer due diligence including customer identification. As is currently the case under existing legislation there will be a role for more detailed guidance notes or codes of practice to be applied in particular sectors and drawn up or approved by regulatory or self-regulatory bodies.
In line with Government Policy a screening Regulatory Impact Analysis on the application of the Third Money Laundering Directive has been  carried out by my Department together with the Department of Finance. The process involved extensive consultations with interested parties including the Law Society of Ireland and the Society of Trust and Estate Practitioners. Subject to Government approval it is my intention to publish this Regulatory Impact Assessment and the General Scheme of the proposed Bill with a view to allowing a further period of consultation with all of the parties affected by the provisions of Directive 2005/60/EC.
Dáil Éireann 638 Written Answers. EU Directives.